Webdunia - Bharat's app for daily news and videos

Install App

Kim Kardashian to pay $1.26 million over unlawful crypto promotion

Webdunia
Tuesday, 4 October 2022 (11:04 IST)
Reality television star Kim Kardashian agreed to pay a $1.26 million (€1.29 million) settlement to the US Securities and Exchange Commission (SEC) over fraud charges related to the cryptocurrency company EthereumMax.

The SEC had accused Kardashian of touting the company's EMAX tokens, a crypto security asset, on her Instagram account without the legally required disclaimer that she was paid to do so.

Kardashian was reportedly paid $250,000 for the post. As part of her settlement with the SEC, she is not allowed to promote crypto assets for at least three years.

"The federal securities laws are clear that any celebrity or other individual who promotes a crypto asset security must disclose the nature, source, and amount of compensation they received in exchange for the promotion,'' Gurbir Grewal, director of the SEC's division of enforcement, said in a statement.

Kardashian's lawyer said she had cooperated fully with the SEC's investigation.

Crypto under scrutiny

Following a year of criminal scandals and crashing markets, cryptocurrencies have increasingly come under government scruntiny in the United States. A new bipartisan proposal in Congress would ensure that high-profile cryptocurrencies like Bitcoin and Ether are subject to the authority of regulators.

Kardashian joins other celebrities such as boxer Floyd Mayweather, rap star DJ Khaled, actor Steven Seagal and rapper T.I. in running afoul of US authorities when it comes to promoting cryptocurrencies.

Related Article

See All

Top News

Initial training completed for Gaganyaan Mission Astronauts in US

Supreme Court asks trial court not to proceed till Sambhal Mosque Petition against Survey is listed in High Court

IND vs AUS: Cheteshwar Pujara proposes new batting position for Rohit Sharma ahead of Adelaide Test

Must Read

Landslides and mudslides: Can they be prevented?

Fungi are adapting to body heat — a 'doomsday scenario'

Could a Syrian war criminal be attending Paris Olympics?

Next Article
Show comments